Demonstrating traction is important for any company, and especially an early-stage one. A lot of founders communicate it through standard metrics like revenue, number of customers, number of users, etc. Those are fine, but they arenât the only indicators of traction. If youâre still trying to find productâmarket fit, giving people insight into your journey can be a great way to show that your company is gaining traction.
If you donât have productâmarket fit, youâre no doubt talking to customers often to better understand their problem and what they need in a solution. Ideally, what you learn leads to changes in your product or service. Customers react to those changes positively or negatively. If youâre getting closer to what customers want (and will pay for), thatâs traction. Itâs not as easy to get across as, say, revenueâbecause itâs not quantifiableâbut itâs still great traction.
If youâre an early founder and someone asks about your traction, consider sharing what youâve learned during your journey toward productâmarket fit. Your customer and revenue numbers may not be going up yet, but what youâre learning could signal that youâre on to something big!